The Argentine had been strongly linked with a move to Barcelona this summer, however the Catalan club failed to strike a deal with the Nerazzurri during negotiations.
"He is staying with Inter this season," Lautaro's agent, Beto Yaque, told Sky Sport Italia.
As such, Barcelona will have to wait a year before attempting to sign Lautaro.
In addition, Beto Yaque dismissed reports that they had reached a deal with Real Madrid, as some reports had suggested.
"We have not spoken about the white club, there is nothing," he said.